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What is financial risk in business?
Learning objectives on the subject of financial risk in business are still developing. A primary goal is the definition of the critical factors that constitute a risk and their assessment; a second aim is the intention of risk reduction opportunities. This risk in business is a potential problem for management to control; it may be used as a lever to gain a competitive advantage over competitors. This is where the management of risk becomes important; several management decisions can be taken to reduce risk and reduce the risk of a business failing to achieve objectives.
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